Entertainment Weekly‘s Hollywood Insider tells us that New Line and MGM have finally green-lighted Peter Jackson’s The Hobbit project. Mr. Jackson will executive produce the Lord of the Rings prequel for a 2010 release, but the studios are still searching for a director.
Production on The Hobbit will begin immediately, though no script has been written, which means they will have to work around the strike. A rep for MGM says, "This is a slamdunk for everybody."
In a New Line press release to be sent out today, Peter Jackson says , “I’m very pleased that we’ve been able to put our differences behind us, so that we may begin a new chapter with our old friends at New Line. ‘The Lord of the Rings’ is a legacy we proudly share with Bob and Michael, and together, we share that legacy with millions of loyal fans all over the world. We are delighted to continue our journey through Middle Earth. I also want to thank Harry Sloan and our new friends at MGM for helping us find the common ground necessary to continue that journey.”